This usually means that you mistakenly did not enter the same amount in box 2a as the amount in box 1 of a distribution from a traditional IRA reported on a Form 1099-R with code 1, 2 or 7 in box 7 and the IRA/SEP/SIMPLE box marked. The amount in box 2a of such a form must always have box 2a equal to box 1 and have box 2b Taxable amount not determined marked.
This usually means that you mistakenly did not enter the same amount in box 2a as the amount in box 1 of a distribution from a traditional IRA reported on a Form 1099-R with code 1, 2 or 7 in box 7 and the IRA/SEP/SIMPLE box marked. The amount in box 2a of such a form must always have box 2a equal to box 1 and have box 2b Taxable amount not determined marked.
I received the same message from TurboTax this year for both mine and my wife's IRA. I checked the previous three years of my taxes (all done by Turbotax) and in all cases Box 7 was marked 7, the amounts in boxes 1 and 2a were identical and the amount not determined box in 2b was checked. What else could be wrong?
This result suggests that on TurboTax's 1099-R form you failed to put the same amount in box 2a as is in box 1.
Nope. I checked in the pdf files generated by TurboTax. Same number in both for the last three years. Could this somehow be related to my taking the RMD this year even though I did not have to? I noticed that my withdrawal was listed by TurboTax as nontaxable which I do not think is correct.
For me this does not work. If I made charitable contributions from a MRD on an IRA, then 1 and 2a are not he same. The program recognizes this, with appropriate questions while in that entry part, but I still get the questions after closing out 1099-R section
If I made charitable contributions from a MRD on an IRA, then 1 and 2a are not he same.
That is incorrect. A Form 1099-R that reports this distribution must always have box 2a equal to box 1. What makes a QCD nontaxable is how you report it on your tax return, not how it's indicated on the 1099-R. You must enter the Form 1099-R exactly as received.
Actually that is how it is entered on my 1099-R as amended by the broker for these contributions. Perhaps they were wrong, but these same was done last year and it worked.
The program as I said interprets these correctly when going through the step by step entry, but of course not at the end
I did not specify that I had "received a withdrawal of an excess traditional IRA contribution". I am getting the "Explain Excess Withdrawal" prompt. My 1099 block 2a is blank, block 7 says "7", SEP/IRA box is checked. Block 2b Taxable amt not determined is checked. Should I enter an amount in block 2a, even though the 1099-R is blank and TurboTax says "Type in the amounts in boxes 1-17 exactly as they appear on 1099-r?"
@argonaut56 , on a Form 1099-R with code 7 in box 7 and the IRA/SEP/SIMPLE box marked, box 2a is permitted to be blank only if the distribution of excess contributions and the distribution was made after the due date of the tax return under section 408(d)(5) of the tax code. In that case, box 2b Taxable amount not determined must also be marked. If this is not such a distribution, contact the payer to obtain a corrected Form 1099-R showing the the same amount in box 2a as is in box 1.
I'm receiving the same message and I assume the problem arises because I made a Distribution direct from IRA to charities which was slightly more than the RMD?
Alec
As @dmertz has suggested above please insure that box 2a and box 1 on the 1099-R that you entered into the system are the exact same amount.
They are the same. My question was what prompted the message about excess contribution.
But while I have your attention, should I include those charity contributions made directly from my IRA with the charity donations made directly from me in the "deductions and credits" area?
No, do not include your qualified charitable distribution (QCD) in the deduction and credit area. You have already received the tax benefit of the distribution as it is excluded from your income. Please refer to the IRS topic Reminder to IRA owners age 70½ or over: Qualified charitable distributions are great options for making tax-free gifts to charity for further information.
Actually, before I read your answer, I checked last years program and discovered that I did indeed enter the total 1099-R charity donations, and the 1040 had the total IRA distributions on line 4a, and the taxable amount on line 4b. The 1040has "QCD" by the line 4b box.
I also re-opened last year's input screen to be sure the charity and donations had the total donation amount correct, not just the amount without the direct donation from the IRA.